19 May 2008

Corporate Manslaughter Act warning to TMCs

Travel management companies are being urged to take legal advice to avoid being prosecuted under the new Corporate Manslaughter Act.

Delegates at the Guild of Travel Management Companies Conference in Istanbul were warned they could be held liable if one of their clientsÃ¢â¬â¢ travellers was killed while on a business trip.

Under the Act, which applies to deaths in the UK or while on a UK registered aircraft, companies can recieve unlimited fines if they cannot demonstrated Duty of Care to their employees.

Avis UK sales director Roger Grainger said the change to the law was an opportunity for TMCs to get a competitive edge but was also a huge risk.

"This is where you can add real value to your clients and gain a competitive advantage, but at the same time the law could apply not just for the corporates but also to you as professional travel body if you have made the travel arrangements."

Speaking on behalf of the TMCs, Pat Fauvel of Travel Focus said agents should take legal advice because the legislation is confusing and complex.

"There are grey areas and we wonÃ¢â¬â¢t know until there is a case law," she said. "This needs to be thrashed out with the corporates."

GTMC chief executive Philip Carlisle said even if a traveller accepts a risk, this does not necessarily absolve the TMC.

He said the GTMC said it would be taking legal advice on behalf of its members to get clarification of where liability lies.

by Bev Fearis